Ministry of Development: 121,561 Homes Were Sold in Q3

12 December 2017 – El País

House sales are continuing to record their best figures for a decade. The number of transactions rose by 16.7% in the third quarter to reach 121,561 sales. It represented the best third quarter of a year since 2008, when 122,949 operations were closed, according to data from the Ministry of Development. Buyers continued to focus on second-hand properties, with their more affordable prices. In this way, second-hand homes accounted for 110,126 transactions, representing 90.6% of the total. Meanwhile, 11,435 operations involved new build homes, which accounted for 9.4% of the total.

Since the real estate market began its recovery in 2014, only good results have been recorded. Over the last 12 months, between October 2016 and September 2017, 516,643 homes have been sold in Spain, which represents a 15.8% increase compared to the same period a year earlier. Nevertheless, the total volume of homes that have changed hands is still well below the levels reached during the years of the real estate boom. In 2006 alone, more than 916,000 units were sold.

Every single autonomous region recorded increases in the number of house sales during the third quarter of the year. The greatest rises were seen in La Rioja (32.9%), Cantabria (31.9%), Ceuta and Melilla (26.3%), Murcia (25.6%) and Andalucía (23.6%). By contrast, the smallest increases were recorded in Extremadura (5.7%), País Vasco (6.3%), Community of Madrid (7.9%) and Navarra (9.9%). By municipality, the highest number of sales were recorded in Madrid (8,560), Barcelona (4,096), Valencia (2,404), Zaragoza (1,944), Sevilla (1,779), Málaga (1,632), Alicante (1,399) and Palma de Mallorca (1,315).

Many of the towns benefitted from foreign demand, which has now recorded 25 consecutive quarters of YoY increases. Purchases made by foreign residents amounted to 20,257, which represents an increase of 17.6% compared to the third quarter of 2016. If we add the acquisitions made by foreign non-residents, the figure rises to 24,009, i.e. 17.4% of the total. By province, the highest number of purchases by foreign residents were recorded in Alicante (4,619), Málaga (2,429), Barcelona (1,937), Madrid (1,564), the Balearic Islands (1,377), Valencia (1,183) and Santa Cruz de Tenerife (1,175).

Original story: El País (by S. L. L.)

Translation: Carmel Drake

Idealista: Second-Hand House Prices Fell By 1.1% In November

1 December 2016 – El Economista

Second hand house prices decreased by 1.1% during the month of November, according to the most recent real estate price index published by Idealista.

Specifically, the web platform places the average price per square metre at €1,497/m2, which represents a YoY decrease of 4.3% with respect to the same month last year, wen it stood at €1,564/m2.

Non-uniform decreases

Nevertheless, this decrease has not been uniform throughout the Spanish territory, given that the price of second-hand homes has actually increased in six autonomous regions.

The greatest increase was recorded in the Balearic Islands, where prices rose by 1.3% to €1,972/m2; followed by Navarra, where the price per square metre now amounts to €1,442/m2, up by 0.8% with respect to the previous month; and Cantabria, which experienced an increase of 0.4% to €1,572/m2.

País Vasco, Aragón and La Rioja recorded increases of 0.1% in all three cases taking the price per square metre to €2,498/m2, €1,235/m2 and €1,063/m2, respectively.

At the other end of the scale is Castilla-La Mancha, where, after a 1.5% decrease in the price of second-hand homes during the month of November, the price per square metre is now €884/m2.

It is followed by Madrid and Cataluña, where prices have decreased by 1.3%, taking the price per square metre to €2,332/m2 and €1,793/m2, respectively.

The case of Extremadura stands out too, where prices have not moved with respect to the month of October, remaining stable at €917/m2.

By province

During the month of November, twelve provinces saw price rises, led by the Balearic Islands (1.3%), Navarra (0.8%), Córdoba (0.8%), Huesca (0.6%) and Ourense (0.5%).

Meanwhile, the most significant decreases were recorded in Lleida (-3.5%), Cuenca (-2.6%), Segovia (-2.2%), Jaén (-1.9%) and Toledo (-1.9%).

Gipúzcoa and Vizcaya continued to lead the ranking of most expensive provinces, with average prices per square metre of €2,823/m2 and €2,556/m2, respectively, followed by Madrid, at €2,332/m2 and Barcelona, at €2,218/m2.

By contrast, the cheapest provinces were Toledo (€800/m2), Ciudad Real (€823/m2) and Cuenca (€835/m2).

Prices rise in 15 provincial capitals

By provincial capital, the most pronounced increase was recorded in Palma de Mallorca, where price rose by 2.5%, followed by Barcelona (1.7%) and San Sebastián (1.6%).

By contrast, Lleida (-3.3%), Murcia (-2.7%), Pontevedra (-2.5%) and Segovia (-2.4%) recorded the highest decreases in second-hand house prices.

San Sebastián is still the most expensive city in Spain, at €3,952/m2, ahead of Barcelona, where the average price amounts to €3,781/m2 and Madrid (€2,887/m2). At the other end of the scale, Lleida and Castellón are the cheapest provincial capitals in the ranking, with average prices of €865/m2 and €946/m2, respectively.

Original story: El Economista

Translation: Carmel Drake

Fotocasa: Rental Prices Record Highest QoQ Rise For 9 Years

22 April 2016 – El Economista

Average residential rental prices in Spain rose by 3.1% during the first quarter of the year, which took the price as at March 2016 to €7.24/m2/month, according to the latest data from fotocasa’s Real Estate Index.

The real estate portal explained that this quarterly increase in residential rental prices represents a continuation of the predominant trend seen in 2015, the year in which rental prices started to rise again after eight years of widespread decreases.

“The rental market has been experiencing strong growth in recent years and that is manifesting itself in the form of rental prices. According to recent studies by, 60% of the landlords that rented out a home last year did not have to reduce the asking price in order to let the property and 90% found a tenant within six months”, explained the Head of Research at fotocasa, Beatriz Toribio.

In fact, the increase recorded during Q1 2016 is the highest in the history of fotocasa’s Real Estate Index, which began in Q1 2007, when rental prices rose by 4.9%. Since then, rental prices have decreased every quarter, with just a few exceptions, in 2011 and 2014. Quarterly rental prices started their recovery in 2015, with increases of 2.8% and 1.5% in the first and second quarter, respectively.

Increases in 11 autonomous regions

During the first quarter of the year, rental prices increased in 11 autonomous regions on a quarterly basis and in all regions on an annual basis. In fact, the YoY variation in Q1 2016 was 4%, the second highest increase in the history of fotocasa’s Real Estate Index, which dates back to 2006. (…).

Since reaching the maximum price in May 2007 (€10.12/m2/month), rental prices have recorded a cumulated decrease of 28.5%. In this sense, five autonomous regions recorded decreases of more than 30% since their peaks five years ago. Thus, Aragón is the autonomous region that has seen the sharpest decreases in rental prices (-40%), followed by Castilla-La Mancha (-35.6%), Cantabria (-35.3%) and Valencia (-31.9%).

Until March, rental prices increased in 11 autonomous regions, with rises ranging from 6% in the Balearic Islands to 0.8% in Andalucía. At the other extreme, rental prices decreased in six autonomous regions during Q1. The reductions ranged from 3% in La Rioja to 0.1% in the Canary Islands.

In terms of rental price rankings, for the first time in recent years, Cataluña displaced País Vasco as the most expensive autonomous region in which to rent a home. Specifically, the price in Cataluña amounted to €10.19/m2/month in March, followed by País Vasco (€10.18/m2/month) and Madrid (€10.08/m2/month). At the other end of the scale, Extremadura (€4.46/m2/month) and Castilla-La Mancha (€4.66/m2/month) were the two regions where residential rental prices are most affordable.

In terms of the evolution of prices by province, 32 provinces recorded rental price increases with respect to December, with the price rises ranging from 9.2% in Huelva to 0.1% in Las Palmas. By contrast, rental prices fell in 17 provinces, with decreases ranging from -0.2% in Córdona to -3.4% in Teruel. Meanwhile, prices remained stable in Lleida. (…).

Original story: El Economista

Translation: Carmel Drake